Kirkland’s, Inc. (NASDAQ: KIRK) announced that in response to the increased impact from the novel coronavirus (COVID-19) it is closing its 424 stores across the country at 6 p.m. local time today. The company plans to follow the guidance of the Centers for Disease Control and Prevention, as well as local and state government officials, and will reopen its stores when there are satisfactory assurances to do so.
“Keeping our employees and customers safe has always been our top priority,” said Woody Woodward, Chief Executive Officer. “We are in unprecedented times for our industry and nation and are temporarily closing our stores out of an abundance of caution. We have communicated with our employees how we intend to support them, and we will continue to serve our customers online through our website, www.kirklands.com.”
Woodward noted, “As we assess the impact of necessary safety precautions, we are also aggressively managing our costs and infrastructure and supporting the continued growth in our e-commerce sales, which will remain open for home delivery. Separately, at the beginning of this week, we drew down $40 million of our $75 million revolving credit facility, which, when combined with approximately $12 million in cash, provides us approximately $52 million in cash.”
